Standard Chartered announces €55m funding with the Ghana Ministry of Finance for roads projects.
Standard Chartered Bank has announced the signing of €55m funding with the Ministry of Finance of the Republic of Ghana for road infrastructure in a deal supported by the Swedish Export Credit Agency (EKN) and the Swedish Export Credit Corporation (SEK). The deal will fund the asphalt overlay of 100km of feeder roads in Tamale, Walewale, Nalerigu, Gambaga, Damongo and Yendi in the northern region of Ghana.
The financing transaction provides a significant contribution to the Ghanaian government’s commitment for major investments in road transportation infrastructure and alignment with the United Nations’ Sustainable Development Goal 9 on industry, innovation and infrastructure.
The road infrastructure project will help the government’s efforts to boost the socio-economic development of the country’s urban and rural communities by providing easier access to healthcare, education, employment and other social services. Tamale’s road network project is being developed by a Swedish EPC (engineering, procurement and construction) contractor, QG Konstruktion AB (QGMI) and will help improve regional networks in the north of the country and consequently increase the flow of business, agricultural trade and market access.
Desislava Radeva, director of structured export finance at Standard Chartered Bank, said: “We are extremely proud to reinforce our position as a reliable bank of choice to Ministry of Finance of the Republic of Ghana and to enhance our collaboration with EKN and SEK by closing this landmark infrastructure financing during such challenging times.”
Maria Mattsson, senior underwriter at EKN, said: “EKN’s mission is to enable financing of the purchase of Swedish high-quality equipment. It is particularly rewarding that EKN has participated in this important project.”
Marcio Jordao, structured and export finance director at QGMI, said: “Our participation once again reaffirms QGMI’s commitment with Ghana. This project, developed with the important support of Standard Chartered Bank, EKN and SEK, will promote the growth of the region economy and a better quality of life for the local population.”
The transaction marks another significant ECA-supported term facility arranged by Standard Chartered Bank and signed with the Ministry of Finance Ghana. It follows the bank’s €78m UKEF-supported financing for the construction of a new regional hospital in Koforidua, Ghana, developed by UK EPC contractor, JV Tyllium-Ellipse UK Ltd.
